Budget deadline looms, deal yet to be reached

MOBILE, ALa (WALA) - The deadline is fast approaching for Mobile city leaders, who have yet to agree on a budget for the 2013 fiscal year, which begins Monday, October 1.

The city council shot down another attempt by Mobile Mayor Sam Jones to pass a sales tax, which he said is needed to fill a projected $29 million deficit.

Mayor Jones said potential international investors have even taken notice of the lack of compromise and back-and-forth between city leaders.

“The one thing that we can't afford is to damage our image as a community,” said Jones. “We spent many, many years building it.”

Mayor Jones and city council members met Thursday at 4 p.m. to come up with an alternate plan to fix the city's budget woes.

“If we don't make anything before Tuesday, then the city naturally reverts back to the previous year's budget and works off a continuing resolution,” said Finance Committee Chairman and City Councilman, William Carroll. “The problem is, we don't want to go two or three months working off that continuing resolution.”

During the meeting, Mayor Jones presented an amended version of the budget and tax, offering the council more power and time to follow the city’s revenue intake and spending throughout the year.

“We actually show them how any proceeds would be distributed, and it's actually written in the ordinance. So I don't have any flexibility to do it any other way,” said Jones.

Council members said they need a few days to discuss the new agreement. There have also been talks of potentially increasing the sales tax by a fraction of 1 cent.

Many walked away hopeful that a compromise can be reached soon.

“I think we're very close after today's meeting, very close. I think it's all about how we implement it and take advantage of what savings we have going into next year's budget cycle,” said Carroll.